Alterra Capital, a spinoff from Carlyle Africa, sells off its historical investment asset
In a significant move, Alterra Capital Partners, a private equity firm specialising in high-growth companies across Africa, has sold SafetySA, a provider of occupational health and safety services, to Centre Testing International Group Co., Limited. The deal, facilitated by DC Advisory, marks a notable transaction in the African private equity market and a strategic shift in Alterra Capital Partners' investment portfolio.
SafetySA was originally acquired by the Carlyle Sub-Saharan Africa Fund (CSSAF) in 2018, with Alterra, formed by former Carlyle Africa team members in 2020, acting as adviser for CSSAF's investments, including SafetySA. The exact terms of the deal remain undisclosed.
The exit from SafetySA is a significant event in Alterra Capital Partners' history, signifying the monetization of a seven-year-old asset from the Carlyle Sub-Saharan Africa Fund. Meanwhile, the firm is strengthening its presence in India by hiring a former executive from Bain Capital. This addition is expected to bolster Alterra Capital Partners' growth strategy in the region.
Interestingly, Carlyle has also strengthened its India team with a new hire, who previously worked at Bain Capital. This move comes as the European VC firm Speedinvest plans to onboard a key Limited Partner for its first Africa-focused fund.
The African private equity market has witnessed a series of significant transactions in recent times, with the exit of Alterra Capital Partners from SafetySA being one of them. This trend is expected to continue, as private equity firms like Alterra Capital Partners and Speedinvest continue to invest in Africa's high-growth potential.
[1] Alterra Capital Partners Press Release, [date], available at: [link] [2] DC Advisory Press Release, [date], available at: [link]
In light of the sale of SafetySA, Alterra Capital Partners is not only reducing its investments in the African occupational health and safety services sector but also strategically shifting its portfolio towards private-equity opportunities in India. The firm is strengthening its presence in India by investing in a former Bain Capital executive, expected to bolster its growth strategy in the region.
Parallel to this trend, the African private-equity market has experienced increased activity, with firms like Alterra Capital Partners and Speedinvest showing interest in investing in Africa's high-growth potential. This interest in private-equity investing in Africa is driven by the region's promising prospects for growth.
